Documents filed with a Downtown Investment Authority committee agenda indicate that the former First Baptist Church main auditorium Downtown, now called NoCo Center and the venue for “Beyond Van Gogh” and other exhibits, would be replaced by a 16-story apartment building with a full-service grocery store as part of the Gateway Jax development.
The development team, which is developing multiple blocks Downtown as mixed-use space, is seeking more than $2 million in city incentives for the grocery store build-out.
It is an expansion of what has been announced so far for the project, which broke ground Oct. 29 on the $45 million Block N11 building at 515 N. Pearl St.
So far, Gateway Jax has announced five blocks as part of its project, N11, N4, N5, N8 and N9, calling them Pearl Square.
The NoCo Center site is the yet-to-be announced Block N7.
The Gateway Jax development, if fully built-out, would infuse $2 billion of investment into Downtown across more than 22 acres.
On Dec. 12, the Downtown Investment Authority Retail Enhancement and Property Disposition Committee is scheduled to consider Resolution 2024-12-01, which would provide a Retail Enhancement Program grant of $1.26 million and a Recapture Enhanced Value Grant of $841,000 to the prospective grocery tenant.
According to the resolution, the grocery space would be part of Gateway’s Block N7 at 119 W. Beaver St. The resolution indicates Gateway plans to redevelop the property into a 16-story building including 250 multifamily units, a structure parking garage with about 400 spaces, and 38,000 square feet of retail space.
The retail space would include 31,500 square feet for “a leading, full-service grocery store.”
The resolution states that Gateway Jax is negotiating with grocers “and has determined that to be successful in attracting a premier tenant will require financial incentive to offset build out costs and to mitigate risk associated with moving into Downtown Jacksonville.”
Build-out will require a capital investment of at least $5 million, the resolution says.
According to a term sheet attached to the resolution, the incentives will be contingent on Gateway landing a grocer tenant with a full-service pharmacy “on a best-effort basis.” The store must be open seven days a week with minimum hours of 8 a.m. to 7 p.m. and be closed for no more than three national holidays per year.
The grocer must offer fresh produce, fresh meats, a deli, frozen foods, dairy products, dry goods, beer and wine, a bakery, health and beauty aids, and other items typically found in full-service grocery stores.
The term sheet states that the store cannot be a department store offering groceries as a separate department, a limited-service operation or a warehouse club requiring membership.
The proposed Retail Enhancement Program grant is structured as a forgivable loan to be provided upon completion of the build-out and funded through the Downtown Northbank Redevelopment Trust Fund.
The REV grant is for 75% over 18 years. A REV grant is a refund on ad valorem tax revenue generated by a new development.
The Daily Record reported that Corner Lot and JWB Real Estate Capital bought the 103,016-square-foot auditorium built in 1995 and the adjoining parking garage as a joint venture in 2022.
Property records show 712 Hogan Street North LLC bought the auditorium for $2.3 million through 119 Beaver Street West LLC and paid $6.09 million for the adjoining parking garage through 712 Hogan Street North LLC.
State records list Bryan Moll, principal of the Gateway Jax development team, as a title member of 119 Beaver St W LLC.
Alex Sifakis, president of JWB Real Estate Capital, is a partner in the Gateway Jax project.
In 2022, JWB and Corner Lot spent nearly $750,000 to prepare the auditorium for “Beyond Van Gogh: The Immersive Experience.” The space later hosted the “Beyond King Tut” exhibit.
Corner Lot CEO Andy Allen said in 2022 they named the auditorium NoCo Center after Downtown’s North Core.
The North Core generally is bounded by Beaver, Hogan, Duval and Clay streets.
The proposed apartments and grocery would have additional residents nearby.
Gateway Jax agreed in September to lease land from the Jacksonville Transportation Authority to build a 250-unit apartment building on the east side of the Rosa L. Parks Transit Station at 201 W. Union St. That site is adjacent to the north of NoCo Center.